Intercontinental Hotels Group PLC IHG
Hotels/Resorts · data as of November 13, 2026
Intercontinental Hotels Group PLC (IHG) is a consumer discretionary company listed in the US with a market value of about $26.5B. In the twelve months to June 30, 2026 it had revenue of $5.3B and net income of $714M, a net margin of 13.4%.
Its overall Stock Analiz score is 2.2 out of 5 (weak). The strongest part is future growth (3/5); the weakest is value (0/5).
Key numbers: a P/E of 38.2, a price to free cash flow of 30.7, 5-year revenue growth of 17% a year, a 5-year average ROIC of 56%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 51% below the current price.
Score: 2.2 / 5
Checks passed
- 3-year revenue growth above 10% a year
- Profit margin improving
- 3-year free cash flow growth above 10% a year
- 5-year revenue growth above 8% a year
- 5-year average ROIC above 12%
- Profitable 5 years in a row
- Positive free cash flow
- Interest covered more than 5 times
Checks not passed
- P/E below 25
- P/E below the industry median
- P/FCF below 20
- Price below intrinsic value (DCF, moderate assumptions)
- PEG below 1.5
- Revenue growth above 10% last year
- Strong R&D investment or growth above 20%
- 5-year EPS growth above 10% a year
Valuation
Growth and quality
Financials, last 10 years
| Fiscal year | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $5.3B | $5.2B | $4.9B | $4.6B | $3.9B | $2.9B | $2.4B | $4.6B | $4.3B | $1.8B | $1.7B |
| Net income | $714M | $758M | $628M | $750M | $375M | $266M | -$260M | $385M | $349M | $534M | $456M |
| Free cash flow | $863M | $870M | $695M | $865M | $592M | $619M | $111M | $578M | $663M | $572M | $678M |
| EPS (diluted) | $4.68 | $5.15 | $4.27 | $5.10 | $2.55 | $1.81 | $-1.77 | $2.62 | $2.37 | $3.63 | $3.10 |
| Net margin | 13.4% | 14.6% | 12.8% | 16.2% | 9.6% | 9.2% | -10.9% | 8.3% | 8.1% | 29.9% | 26.6% |
| ROIC | — | 58.0% | 75.8% | 65.1% | 56.0% | 26.6% | -7.4% | 64.8% | 48.3% | 92.6% | 92.7% |
From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.
What analysts expect
The average 12-month price target from 5 analysts is $153.60, 15% below the current price; targets range from $125.00 to $192.00; the consensus rating is “Hold”; expected EPS is $5.98 for the fiscal year ending December 31, 2026.
Frequently asked questions
What is Intercontinental Hotels Group’s P/E ratio?
About 38.2, based on the last twelve months of diluted earnings per share (forward P/E about 27.3).
Is Intercontinental Hotels Group stock undervalued?
Our DCF model with moderate assumptions puts its intrinsic value about 51% below the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.
Does Intercontinental Hotels Group pay a dividend?
Yes. The dividend yield is about 1.06%, and it has paid dividends for 8 years in our data.
Is Intercontinental Hotels Group a good stock to buy?
We do not give buy or sell advice. Intercontinental Hotels Group scores 2.2 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.
Similar companies
Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.